Petrol, diesel prices hiked for the third time within four days

The retail price of petrol and diesel increased by 17 paise and 21 paise, respectively, on Monday as well.

According to the new revised rate, the petrol will cost Rs 110 per litre and diesel and kerosene will cost Rs 92.

This despite benchmark worldwide rate for petrol going up from $78.84 per barrel, which was used for raising the price to Rs 74.63 a litre on April 24, to $82.98 now, according to sources privy to fuel pricing methodology.

The previous high in these cities was Rs 78.03 (Kolkata, August 2014), Rs 83.62 (Mumbai, September 2013) and Rs 79.55 (Chennai, September 2013) respectively. The state-run oil marketing companies kept the rate on hold for 19 days. The prices of both petrol and diesel have been on a rise over the last three days. With the United States reimposing sanctions on Iran, global oil prices are unlikely to come down any time soon. Brent crude oil had touched $79.47 a barrel, its highest since November 2014, following concerns that United States sanctions on Iran are likely to restrict export of crude from one of the biggest producers in the Middle East. "The recent trend of consistent depreciation in Indian rupee against USA dollar, if continued, may further elongate the period or require sharp hikes to bring retail fuel prices at market-determined level" said Bhatia.

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The fuel was priced at Rs 75.10 per litre in Delhi, the highest since it hit Rs 76.06 a litre in September 2013.

The new prices took effect at 6 a.m. on Monday.

"The increase in petrol and diesel prices is on account of price movement of the products in the global market".

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